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Houghton Ltd

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Houghton Ltd. is trying to determine the value of ending inventory as of February 28, 2017, the company's year-end.

For the below transaction that occurred, specify whether the item in question should be included in ending inventory, and if so, at what amount.

- On February 26, Houghton shipped goods to a customer under terms of FOB destination. The invoice price was $410; the cost of the items was $280. The receiving report indicates that the goods were received by the customer on March 2.